Tejas Networks zooms ~6% on bagging Rs 7,492 crore order from TCS

16 Aug 2023 , 03:06 PM

Tejas Networks shares rose 6% in early trade on August 16 after the company signed a master contract with Tata Consultancy Services (TCS) for the supply, support, and annual maintenance of Radio Access Network equipment for BSNL’s Pan-India 4G/5G network, which covers approximately 100,000 sites.

At around 2.54 PM, Tejas Networks was trading 3.30% higher at Rs 840.10, against the previous close of Rs 813.30 on NSE. The counter touched an intraday high of Rs 869.95.

The company received a purchase order (PO) for Rs 7,492 crore as part of this contract.

The company intends to supply the equipment throughout the calendar years 2023 and 2024. And beyond the warranty period, support and maintenance services will be provided for a duration of 9 years.

TCS is a division of Tata Sons Private Limited, which is a holding company of Tejas Networks Limited.

Tejas Networks has secured the requisite shareholder approval for the related party transaction with Tata Consultancy Services Limited for the fiscal year ending March 31, 2024.

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